FxWirePro: USD/SEK struggles to sustains gains above 8.7000, strong resistance at 21-EMA
Wednesday, September 2, 2020 10:38 AM UTC
- The Swedish Krona nudged lower, retreating from an over 2-year high hit in the previous session as the greenback surged across the board.
- The dollar gained after White House chief of staff Mark Meadows said Senate Republicans are likely to bring up a targeted COVID-19 relief bill next week.
- Investors now await Sweden's service PMI due tomorrow, which is expected to showed service activity contracted to 51 in August from 54.8 in July.
- USD/SEK trades 0.1 percent higher at 8.6827, having hit a low of 8.5954 on Tuesday, its lowest since June 2018.
- The pair fell to an over 2-year trough the day before but retaced losses to close nearly 0.5 higher at 8.6773.
- Immediate resistance is located at 8.7294 (21-EMA), any close above could take it near 8.7440.
- On the lower side, support is seen at 8.6594, break below could take it till 8.6386.